Case analysis

Debt Service Template

(The Capacity “C”)

(Analysis of Capacity to Cover Debt Service Requirements – Global: Milwaukee Machining, Inc. (MMI) & Machining Investments, LLC (MI) together

Profitability:

EBITDA MMI 2005 $​​​​​​​​​​​​​​​​​​​​​​​​​__________

EBITDA MM 2005 $__________

Total EBITDA 2005both companies $__________

Debt Service Requirements:

MMI – New Loans

Term Loan (monthly payment of P & I) $____________ x 12 = Annual Pymt $___________

Line of Credit (at max.loan amt. outstanding $_________x 8.75% = Annual Pymt $ ___________

[Prime Rate was 7.75 in April ’06. Interest is P+1.00%]

Total Debt Service for MMI $_________ __

MI – New Loans

Mortgage Loan (monthly payment of P & I) $__________ x 12 = Annual Pymt $___________

Total Debt Service for MI $___________

Total Debt Service – both companies $___________

Does both companies’ total profitability cover debt service? Yes_____ No_____